Australian regulators relax regulations on stablecoin intermediaries

PANews reported on September 18 that the Australian Securities and Investment Commission (ASIC) has provided regulatory exemptions for stablecoin intermediaries to allow them to distribute cryptocurrencies issued by Australian licensed institutions without having to hold a separate financial services license. The exemption rules announced on Thursday state that intermediaries distribute stablecoins that hold Australian Financial Services (AFS) license issuers and no longer need to apply for AFS, market or clearing facility licenses separately. The measure comes into effect after federal legislation is registered, which is an important step in Australia to solve the problem of regulatory difficulties in stablecoin market. Blockchain APAC CEO Steve Vallas said the move was a temporary transition before the broader reform and was in line with the Financial Services Act. The exemption does not change the determination of whether a stablecoin is a financial product, but only "suspends the secondary license requirements for distributors of licensed issuers", allows distribution through licensed channels, while maintaining the issuer's responsibility, and requires intermediaries to provide product disclosure statements to ensure transparency.